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Time-Varying Lead Times and Iterative Multi-Model Approaches

In: Production Planning with Capacitated Resources and Congestion

Author

Listed:
  • Hubert Missbauer

    (University of Innsbruck)

  • Reha Uzsoy

    (North Carolina State University)

Abstract

The planning models in the previous chapter assume the planned lead times to be workload-independent, exogenous parameters that remain constant over the entire planning horizon. We now consider models with exogenous lead times that vary over time, seeking to accommodate time-varying levels of resource utilization. Since, as discussed in Chap. 2 , cycle times depend on capacity utilization, which is determined by release decisions, obtaining time-varying estimates of lead time parameters requires observation or prediction of resource utilization across the time periods in the planning horizon. This tight linkage of utilization and cycle time suggests that releases and lead times should be jointly determined, i.e., the lead times should be endogenous to the model.

Suggested Citation

  • Hubert Missbauer & Reha Uzsoy, 2020. "Time-Varying Lead Times and Iterative Multi-Model Approaches," Springer Books, in: Production Planning with Capacitated Resources and Congestion, chapter 0, pages 113-141, Springer.
    • Handle: RePEc:spr:sprchp:978-1-0716-0354-3_6
    DOI: 10.1007/978-1-0716-0354-3_6
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